Shares of enterprise workflow software maker ServiceNow (NOW) jumped 6% on Wednesday after market optimism around companies in the AI Services space continued to improve following strong earnings from Salesforce.
This morning’s earnings report from Salesforce reinforced AI Service companies’ outlook as customers are beginning to sign new business contracts.
Salesforce’s business pipeline displayed forward-looking strength for AI solutions, signing 200 deals within a week of launching Agentforce, the company’s newest platform for business customers.
In addition, Salesforce reported thousands more deals in the pipeline, hinting at robust future growth.
ServiceNow’s last earnings report in October showed the same robust forecast for the company in 2025. Shares have rallied more than 12% since that earnings release.
The technical picture for ServiceNow’s stock remains bullish.
Shares of NOW stock are trading well above their bullish 50-day moving average, suggesting strong breadth and a positive outlook for the next 4-6 week period.
From a longer-term perspective, the stock maintains a bullish outlook as the stock crosses above the round-numbered $1,100 price level.
Long-term investors should target a move to $1,500 for ServiceNow stock.
